The Energy Department, Government of Sindh, is responsible for matters relating to the development, generation, supply, and distribution of hydro and thermal power. The Department also determines electricity supply rates for consumers, both in bulk and otherwise, and may prescribe tariffs within the province, except in areas where such authority has been entrusted to WAPDA. The Department is also responsible for perspective planning, policy formulation, processing and development of power projects, and the formulation and enactment of legislation relating to thermal and hydropower generation and distribution.
The major functions of the Energy Department include:
The Department is responsible for:
The Department also undertakes the following activities:
Pakistan’s energy shortage has historically been a major challenge to national growth, economic development, and prosperity. Sustaining the country’s growing energy demand is essential for industrial and economic development. The exploration of the south-eastern region of Sindh, particularly Tharparkar, has resulted in the discovery of significant coal reserves with the potential to support the country’s long-term energy requirements.
The Government of Sindh has regarded the development of Thar coal as a flagship initiative and an important component of the province’s efforts toward energy security. To transform this vision into reality, the Government undertook several major initiatives, including the approval of an incentive package and the development of essential infrastructure.
These initiatives included the construction of an airport, improvement and widening of roads to facilitate the transportation of heavy machinery and equipment from the seaport to the Thar Coalfield, provision of water, construction of an effluent disposal channel, and completion of technical studies. These measures have contributed significantly to the commencement of physical development activities at Thar.
Over the stated period, the Government of Sindh invested more than Rs. 30 billion in various major projects and studies related to Thar coal development. In the relevant financial year, Rs. 21 billion was earmarked for coal, wind, and other energy projects, demonstrating the Government’s commitment to the development of the energy sector.
Physical development work on the Sindh Engro Coal Mining Company (SECMC) project in Thar Block-II had commenced, including the removal of approximately 3 million BCM of overburden. The engagement of a local contractor helped accelerate the work before the mobilization of Chinese EPC contractors, potentially saving several months in construction time.
The development of Thar coal projects was expected to contribute to a new era of sustainable, affordable, and reliable energy for Pakistan and was regarded as strategically important for both the country and the Province of Sindh. The projects were also included among the early-harvest projects under the China-Pakistan Economic Corridor (CPEC).
The Government of Sindh also completed the process for allocating additional coal blocks to potential investors. Memoranda of Understanding (MoUs) were signed with some investors, while discussions with others were in progress. These initiatives reflected the Government’s policy efforts to develop Thar’s coal resources and contribute to addressing the country’s energy requirements.
In addition to Thar coal resources, the Energy Department pursued other energy sources and established special-purpose companies for power generation projects, including the Sindh Nooriabad Power Company (Pvt.) Limited and its Phase-II project, with the participation of a private-sector partner.
The Government of Sindh established the Sindh Transmission and Dispatch Company (STDC) to facilitate the transmission and integration of power generated by various projects. Initially, STDC considered the development of a 75-kilometre transmission line from Nooriabad to the KDA Scheme 33 Grid Station of K-Electric in Karachi. K-Electric expressed interest in procuring power through the proposed transmission network.
Sindh has considerable potential for solar energy generation due to the availability of sunlight throughout the year. Following the receipt of Expressions of Interest under the public-private partnership (PPP) mode, Letters of Intent were issued to successful bidders for the installation of solar-based power generation facilities in several districts of Sindh, including Jhampir/Thatta, Shaheed Benazirabad, Sukkur, and Larkana. Additional independent solar power generation projects were also initiated by private-sector companies.
Sindh possesses substantial wind energy potential, particularly in the Jhampir wind corridor. The province has the potential to generate significant amounts of electricity through wind power projects. The Government of Sindh issued Letters of Intent for the development of wind power generation facilities at Jhampir to various private-sector companies for projects of different capacities.
Sindh also has potential for hydropower generation through canal falls. Various studies have identified hydropower potential at different locations across the province. The Government issued Letters of Intent for the development of small hydropower generation facilities at locations including the Rohri Canal and Nara Canal. Following the 18th Constitutional Amendment, an Oil and Gas Directorate was established within the Energy Department to address the growing requirements of the oil and gas sector. The Directorate is responsible for policy development, regulatory frameworks, and procedures for resolving technical matters related to oil and gas activities. It also works to facilitate the smooth implementation of oil and gas operations in Sindh.
To promote and facilitate commercial activities in the energy sector, the Government of Sindh established the Sindh Energy Holding Company Ltd. (SEHCL). The company entered into assignment agreements with Pakistan Petroleum Limited (PPL) and Oil and Gas Development Company Limited (OGDCL) concerning working interests in various blocks in Sindh. Similarly, Sindh Petroleum Ltd. (SPL), a sister concern of SEHCL, was established to participate in oil and gas exploration activities in Pakistan.
The Power Development Cell was proposed to be converted into a permanent Directorate of Power Development in Sindh, based in Karachi. Additional power development projects, particularly hydropower projects due to their comparatively low generation costs, were proposed to be initiated under the public-private partnership (PPP) mode with the assistance of the PPP Unit, Finance Department.
Following completion of the feasibility study for run-of-river (RoR) projects, the approved scheme titled “Feasibility Study for Identification and Establishment of Small and Mini Power Generation Units on Various Perennial Canals, Lakes and Falls in Sindh”, with an estimated cost of Rs. 49 million, was proposed for implementation through revision of its PC-II to complete the remaining objectives and activities.Upon finalization of the Sindh Power Policy, the private sector was expected to be encouraged to invest in power-sector projects of various types. Such investment would support efforts to address energy shortages while also creating employment opportunities and contributing to the economic development of the province. Energy conservation activities within the province were also proposed under the relevant development programme, with an estimated cost of Rs. 55 million.
The automation of Electric Inspectorates in Sindh was proposed under an ADP scheme with an estimated cost of Rs. 90 million. However, implementation was delayed following the establishment of regional offices of the newly created Electric Inspectorates at Larkana and Mirpurkhas. A research study for the development of power-sector projects covering generation, transmission, and utilization of electricity within Sindh was proposed for inclusion in the following year’s Annual Development Programme (ADP), with an estimated cost of Rs. 45 million.
Similarly, the development of policies, regulatory frameworks, and procedures for addressing technical matters related to the oil and gas sector was proposed under the following year’s ADP, with an estimated cost of Rs. 80 million for the Oil & Gas Wing of the Energy Department.
